The Bangko Sentral ng Pilipinas said increases in the cost of food and utilities picked up pace February, likely nudging inflation rate higher than the 2.8 percent posted in January.
The BSP expects headline inflation for February to be within the 2.8 percent and 3.6 percent range after decelerating in January to its slowest pace since October 2020.
Data for February are due Tuesday.
“Continued price increases for key food items, such as rice, meat, and fish, along with increased petroleum prices and electricity rates are the primary sources of upward price pressures for the month,” the BSP said.
Inflation rate, however, could have been tempered by lower prices of vegetables, fruits, and sugar.
“Going forward, the BSP will continue to monitor developments affecting the outlook for inflation and growth in line with its data-dependent approach to monetary policy decision-making,” the central bank said.
The BSP kept overnight rates unchanged at its policy meeting last month, awaiting further data on inflation which it aims to guide within its target range of 2.0 percent and 4.0 percent.
